Airbus Plans Venture to Help Airlines Hedge Against Revenue Risk

(Bloomberg) -- Airbus SE plans to establish a financial venture that will help its airline customers hedge against risks to revenue.

The London-based Skytra Ltd. operation was incorporated in May, according to filings with Companies House that describe its principal activity as the administration of financial markets.

“We are currently examining the feasibility of creating a new infrastructure for financial-risk management dedicated to the aviation industry,” an Airbus spokesman said in an emailed statement.

Financial News reported earlier that Skytra is targeting a launch date of May next year and will list futures and options contracts based on indexes designed to represent airline revenues. Carriers already commonly hedge against fluctuations in currencies and the price of fuel.

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